Colorado Legislative Council Staff
REVISED FISCAL IMPACT
(replaces fiscal impact dated January 16, 1999)
February 18, 1999
House Local Government
Will Meyer (303-866-4976)
TITLE: CONCERNING THE FUNDING OF UNDERGROUND CONVERSION OF OVERHEAD PUBLIC UTILITIES.
Summary of Assessment
This bill requires public subdivisions of the state who pursue the conversion of overhead electric and communications facilities to do so only through the use of improvement districts. As amended in the House of Representatives, this bill includes cable operators as providers of communication services and excepts public subdivisions from requiring the use of improvement districts when the public subdivision pays for all of the costs and expenses out of its own funds.
The reengrossed bill also allows every public utility that is not regulated by the Public Utilities Commission to impose a surcharge on consumers who derive a benefit from the conversion of overhead electric and communication facilities to underground locations. It exempts local governments from the requirement to use improvement districts or pay for the conversion in connection with incidental and episodic conversions associated with public improvements such as street widening or sewer line construction. The bill would become effective upon signature of the Governor.
The provisions of this bill would require local governments to pursue the conversion of overhead utilities to underground utilities that are not incidental and episodic conversions associated with public improvements, to either pay for all of the costs and expenses out of its funds or finance such conversions through the use of improvement districts. In the instances where local governments pursue such conversions, it would be at the expense of the local governments or the improvement district and not the owner of the electric and communication facilities. The costs to local governments of setting up improvement districts are minimal. The bill will not affect any state agency, and will not have a significant impact on the expenditures of units of local government. Therefore, this bill is assessed as having no fiscal impact.